I live in Texas and I am currently in debt of about 20K with two credit cards.
My husband doesn’t know about my debt.
I need advice regarding consolidation. I’ve been getting letters (at my mothers house, whose address I’ve never used for anything) saying they are reps of the govt and can cut my debt in half by consolidation.
I believe they are scammers because they are not mailing to my house, but to my mothers. What worries me is that they reference the amount I owe, and although not exact, its close.
How would they know? anyways, is there a way to do a consolidation without it affecting my husband, where I can make one payment to someone and have them pay the cards? Will this lower my credit score, which is good? any any help is so greatly appreciated.
Starting off bargaining and hoping your husband never finds out is not a great idea. There are so many ways for him to find out if you apply for any joint credit, like a mortgage, in the future.
The best first step would be to come clean with him and explain the situation in an open and honest way. In my experience, those couples that do this have a better outcome.
If these companies are telling you they are representatives for the government, it is a scam.
If you are searching for a debt consolidation loan and notices are being mailed to your mothers house that is a strong clue you may have fallen behind or been late on one or more of these debts.
The mailers you are getting are most likely the result of purchasing marketing lists from the credit bureaus of people that match a certain criteria. This may be those that are maxed out, have been late or bot. The search criteria is really established by the company paying for the list.
If they are sending the mailers to your mothers house then that’s probably an address you used when you applied for credit.
I’m going to give you some links below to use to evaluate your debt and appropriate solutions. But let me assure you there are NO government programs to cut your debt or consolidate. It sounds to me as if someone is trying to sell you a load of crap.
I’d really like to see the mailers they are sending you. Please upload it here.
I’d suggest you first read How to Get Out of Debt. The Honest and Unvarnished Truth and The Truth About The Success Rates, Failure Rates and Completion Rates of Credit Counseling, Debt Settlement, and Bankruptcy. They will give you a great overview of what we need to deal with to get you moving in the right direction.
Then use the free How to Get Out of Debt Calculator to review your options.
Once you’ve identified a company you want to work with, then follow my step-by-step guide on what you should look for and expect from a good debt relief company.
Bonus Video Answer
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If you have a credit or debt question you’d like to ask just use the online form. I’m happy to help you totally for free.
Real advice, real people
Steve not only gave me a great reference for a financial advisor:Damon Day and Associates, (who really helped give me a clear path after listening to my complex story), but he also continues to give examples of avoiding scams and alternatives methods for becoming financially stable. Thank you Steve and Damon!